Advisory committee to vote on potential privatization of Warren Haven

Warren County residents gathered at the county library headquarters in White Township last night to discuss the positive impact of Warren Haven, hoping to prevent the privatization of the county run nursing home.

After Freeholders privatized housekeeping, laundry and dietary services at the non-profit facility in March, they appointed eight committee members in June with the responsibility of researching funding options and reaching a decision on the future of the facility to advise Freeholders.

County Chief Financial Officer Dan Olshefski, who began the public forum with a presentation on the financial outlook for Warren Haven, cited reduced federal dollars and declining occupancy as main factors in budgeting problems.

“They have less beds filled, and they’re getting less per bed,” he said. “There’s some unknowns going forward.”

Occupancy at the nursing home was 98% in 2008 and fell to 83% this year, with 31 vacant beds, Olshefski said.

In 2010, Medicaid reimbursed the county with $232 per bed per day, but that rate declined to $214 in 2011 and has remained the same since, according to budget charts provided by Olshefski.

While privately-paying residents are charged a break-even rate of $285 a day, the Medicaid reimbursement rate will drop to $190 on July 1, 2014, and combined with increasing vacancy, the committee is looking for solutions to adequately fund the facility.

However, Warren Haven residents, along with their caretakers and relatives who chose to speak at the forum, pleaded with the committee consider the “exceptional” level of care residents receive by sharing endless uplifting stories.

“No one wants to grow old and move into a nursing home, but the employees of Warren Haven have been like a family to us, especially those of us without families,” said James Lubart, a resident of Warren Haven.

Other residents called recent privatization “stressful,” and former Freeholder Ann Stone suggested that further privatization would lead to a severely reduced level of care and commitment.

“The care at Warren Haven is 1,000%… the smiles on their faces are worth more than the money it costs to keep it going,” nursing home entertainer David Werkhiser said, calling it a “historic structure.”

Speakers, wearing green “Save Warren Haven” ribbons, suggested tax increases, but the county is restricted by a 2% budget cap.

County Adjustor and committee member Karen Kubert said she approached the state association of counties to ask about implementing a special tax set aside for nursing homes, but she was told that all counties would have to enter into an agreement to add the special tax.

“They looked into it, and when they got back to me the answer was a resounding no,” she said.

Elizabeth Gittins (D), who unsuccessfully ran against Freeholder Director Jason Sarnoski, suggested using the facility for additional health care needs to boost revenue and offered contacts from neighboring counties with similar problems.

While Kubert said that the committee is “vetting every possible solution,” Independence resident Bill Van Gieson claimed the Freeholders and the committee have already reached a decision.

“We are participating in a sham,” Van Gieson said.

Despite a packed room of Warren Haven supporters who spoke for two hours praising the facility, one speaker questioned continued support.

“Losses cannot be permitted to continue as a drain on the county budget,” Hackettstown resident Harry Brown said, asking the county to not burden future generations with the expense.

At this point it is unclear how the residents of Warren County feel as a whole, and following the election, the option of a referendum to gauge public opinion is not viable at this time, according to Kubert because of their given time frame.

The committee’s report, and potential decision, is due to Freeholders in December, when five committee members will vote on the issue, with three committee members only serving in an advisory capacity.

The Freeholders will not be bound to the decision the committee reaches.